The Cost of Not Taking the Discount on Trade Credit

question 56

Multiple Choice

The cost of not taking the discount on trade credit of 3/20, net 90 is approximately ________.

• A) 15.9%
• B) 16.3%
• C) 18.0%
• D) 17.4%

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Definitions:

Friendly Persuasion

The use of positive, non-coercive tactics aimed at convincing others to adopt a viewpoint or take an action.

Substantive Format

An approach or structure that focuses on the essential and significant aspects of a subject matter.

Solicits Information

Solicits information refers to the act of requesting or seeking out specific data, facts, or responses from individuals or entities, usually for analysis, decision-making, or problem-solving.

Flattery

The act of giving excessive compliments, often insincerely, to gain favor or advantage from someone.